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​Channel chomping at the bit as Internet of Things investment rises

​Channel chomping at the bit as Internet of Things investment rises

Initiatives already underway as organisations open wallets to support IoT deployments.

Enterprises expect to increase investment around the Internet of Things by 33 per cent over the next 12 months, as the channel waits to capitalise on a market swiftly becoming mainstream.

At the big end of town, 451 Research suggests that organisations are forging ahead with IoT initiatives and opening their wallets to support IoT deployments.

Specifically, IoT deployments and usage will be particularly strong in enterprise initiatives around data and transactional intensive workload categories, such as data analytics and security.

IoT-specific projects include things like data collection and analysis of financial, healthcare or industrial functions; the uptime/reliability of mission-critical line of business servers and applications; as well as monitoring the efficiency and costs related to a specific business operation or department such as a hospital emergency room.

Yet for partners, challenges remain for enterprises concerned by security, with 50 per cent of businesses citing it as the top impediment to IoT deployments, followed closely by 41 per cent who cited IoT’s lack of perceived Return on Investment (ROI) and benefits.

“When it comes to IoT adoption, pragmatism rules,” 451 Research director, Laura DiDio, said.

“The survey data indicates enterprises currently use IoT for practical technology purposes that have an immediate and tangible impact on daily operational business efficiencies, economies of scale and increasing the revenue stream.”

Furthermore, DiDio said there is a “distinct and significant portion” of IoT transitions occurring organically as enterprises’ IT systems, networks and infrastructures are naturally becoming IoT-enabled by intelligent sensors and predictive analytics capabilities embedded in IT equipment, such as semiconductors, motherboards, devices (e.g., cameras and HVAC systems), servers, applications, smartphones, switches and routers.

In addition, DiDio said data analytics is playing an “increasingly crucial role” in delivering value to IoT ecosystems with 69 per cent of respondents using data from IoT endpoints (e.g., security and compliance) to reduce risk.

Delving deeper, 90 per cent of enterprises will increase IoT spending over the next 12 months and 40 per cent of respondents will raise IoT-related investment by 25 per cent to 50 per cent compared to 2016.

Across the board, 68 per cent of corporations currently take advantage of IoT data to optimise operations, such as performing preventative maintenance, reducing downtime in factory equipment and fleet management.

Currently, 42 per cent of enterprises use IoT data to develop new products or enhance existing products and services.


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